E-commerce in Bangladesh comprises the online sale and purchase of goods and services through websites, digital marketplaces and social-media platforms, together with the payment, delivery and consumer-protection systems that support those transactions. The sector includes business-to-consumer, business-to-business and consumer-to-consumer commerce as well as a large social-commerce segment operating through platforms such as Facebook.

The development of e-commerce has been supported by expanding internet access, mobile financial services and card-based payments. Bangladesh Bank data showed card-based e-commerce transactions of Tk 21.93 billion in August 2025, 28.8 percent more than in August 2024. These card figures represent only one payment channel and do not include all transactions made through mobile financial services or cash on delivery.

History

Electronic commerce developed slowly in Bangladesh during the early years of public Internet access because online-payment facilities and Internet use were limited. In November 2009, Bangladesh Bank authorised scheduled banks to provide several forms of online transaction, including utility payments, transfers between accounts, payments between buyers and sellers for e-commerce purchases and local-currency credit-card transactions over the Internet.

Bangladesh Bank expanded online-payment facilities during the following years. In May 2013, it permitted holders of international credit cards to purchase goods and services online from foreign merchants, subject to foreign-exchange limits and other restrictions. The central bank also introduced additional authentication requirements for online card-not-present transactions in 2013.

The government adopted a National Digital Commerce Policy in 2018 to provide a policy framework for the sector. E-commerce and home delivery expanded further during the COVID-19 pandemic as restrictions on physical movement encouraged consumers and businesses to use online channels.

The sector faced a major consumer-trust crisis in 2021 after several digital-commerce companies failed to deliver products or return advance payments. Bangladesh Bank's financial intelligence unit reported misuse of e-commerce platforms and a sharp change in transaction patterns after an escrow mechanism for advance payments was introduced on 30 June 2021. The Ministry of Commerce issued the Digital Commerce Operation Guidelines 2021 on 4 July 2021.

Market and payments

Bangladesh does not rely on a single payment method for online shopping. Consumers use cards, mobile financial services, bank transfers and cash on delivery. Cash on delivery has remained important, particularly because it allows buyers to inspect or receive products before making payment.

Card-based e-commerce payments have increased substantially. Bangladesh Bank data reported by The Financial Express show that card payments for e-commerce reached Tk 23.05 billion in January 2025, Tk 20.35 billion in February and Tk 23.66 billion in March. In August 2025 they reached Tk 21.93 billion, compared with Tk 17.02 billion a year earlier.

The wider digital-payment system has also expanded. Bangladesh Bank reported that digital-payment transaction volume and value each increased by 13 percent in 2025. Digital transactions reached 5.463 billion transactions with a total value of Tk 102.24 trillion. These figures cover the wider payment system and should not be interpreted as the value of the e-commerce market.

Internet access has widened the potential customer base, although adoption remains uneven. The Bangladesh Bureau of Statistics' ICT Access and Use survey for fiscal year 2024–25 reported that 53.4 percent of individuals used the Internet. Internet use was 75.7 percent in urban areas and 43.6 percent in rural areas. The same survey reported that 11.6 percent of respondents used the Internet for online shopping.

Social commerce

Social-media-based commerce, particularly sales conducted through Facebook pages, has become an important part of online retail in Bangladesh. The model allows small businesses to advertise products, communicate with customers and take orders without operating a standalone e-commerce website.

Industry estimates cited by Bangladesh Sangbad Sangstha in 2026 placed the number of active Facebook-commerce entrepreneurs at approximately 200,000 to 250,000. The E-Commerce Association of Bangladesh was reported to have around 3,000 members.

Research has identified social commerce as a particularly accessible entry point for women entrepreneurs and small businesses because it reduces the need for a physical storefront and lowers initial capital requirements.

Regulation and consumer protection

The Digital Commerce Operation Guidelines 2021 apply to digital-commerce businesses operating in Bangladesh. The guidelines require sellers to provide information about products or services, prices, delivery charges, terms of purchase and return policies and establish rules governing delivery and advance payments.

Following problems involving advance payments, Bangladesh Bank developed stronger payment safeguards. Its Guidelines for Merchant Acquiring and Escrow Services, 2023 introduced rules for merchant onboarding, monitoring and the handling of advance payments through escrow arrangements. Bangladesh Bank said the measures were intended to improve accountability and protect customers in digital-commerce transactions.

The government also introduced a Digital Business Identification system for registering digital businesses. A Central Complaint Management System for digital-commerce complaints was launched in February 2023.

The Payment and Settlement System Act, 2024 provides the statutory framework for the licensing, regulation and supervision of payment and settlement systems. It gives Bangladesh Bank authority to regulate payment-system operators and payment-service providers and includes provisions intended to reduce financial risk and protect customers.

Cross-border e-commerce

Bangladeshi consumers have been permitted to make some foreign online purchases using international credit cards since 2013, subject to foreign-exchange rules and transaction limits. Cross-border e-commerce nevertheless remains more restricted than domestic online commerce because of foreign-exchange controls, customs procedures, logistics limitations and payment restrictions.

In July 2026, the Ministry of Commerce published a draft Cross-Border Digital Commerce Policy for public consultation. The draft proposed requiring foreign digital platforms conducting online business or advertising in Bangladesh to establish a registered presence in the country and comply with applicable tax and regulatory requirements. As of that publication, the proposal remained a draft rather than an enacted policy.

Challenges

Consumer trust remains a significant issue because of earlier cases involving non-delivery of products, delayed refunds and misuse of advance payments. The escrow and merchant-acquiring rules introduced after 2021 were intended in part to reduce these risks.

Logistics and unequal digital access also constrain expansion beyond major urban markets. The 2024–25 BBS survey found a 32.1 percentage-point difference between urban and rural Internet use. The International Trade Administration has also identified delivery reliability, transport infrastructure, transaction security and cross-border payment restrictions as continuing constraints on e-commerce development.

Although digital-payment use is increasing, cash remains important in consumer transactions, and e-commerce businesses must operate across card, mobile-financial-service, bank-transfer and cash-on-delivery payment systems.

See also Information technology in Bangladesh Internet in Bangladesh Retailing in Bangladesh Digital Bangladesh

References